Friday, June 24, 2011

When a bank becomes too cooperative

On May 7, when the Reserve Bank of India (RBI) recommended the 44-member board be superseded by state government administrators, NCP President and agriculture minister Sharad Pawar was quick to express his displeasure: “The bank has disbursed loans on the state government’s guarantee. There has not been a recovery of such loans and that is why it’s being shown as NPAs.”..........

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